The European Union Council issued a mandate on June 5 for modernizing the EU’s current regime of export controls of dual-use items. The 115-page mandate includes new provisions for “harmonising licensing processes” through new general export authorizations and new controls for “supplying technical assistance related to sensitive items.” It also includes "a new mention of cyber surveillance items highlighting that the competent authorities have the possibility to control such items using the current regulation as for all non-listed dual-use items that could be used for directing or committing serious violation of human rights," the Council said in a May 6 press release. “The new rules will introduce a number of changes to the EU export control system of dual-use items to adapt it to the changing technological, economic and political circumstances,” the notice said. “They will also simplify and improve the current rules and optimise the EU licensing architecture.”
Japan’s Ministry of Economy, Trade and Industry announced the status of enforcement procedures for the Basel Convention Act, which controls the export and import of “specified hazardous wastes,” the METI said in a May 28 notice. Among several requirements, the act requires that exporters or importers of hazardous waste obtain approval from the METI for “disposal or recycling” and requires traders to “carry a movement document” for the waste.
The State Department’s Bureau of Political-Military Affairs imposed statutory debarments under the International Traffic in Arms Regulations on 23 people who violated the Arms Export Control Act, the department said in a notice scheduled to be published in the June 6 Federal Register. The 23 people have been convicted of violating the AECA, the notice said, and are banned from receiving export licenses for defense products or services for three years after the conviction. The 23 people must also request reinstatement from the State Department before completing any transactions subject to the ITAR, the notice said, and are allowed to request reinstatement one year after the debarment.
An Iranian citizen who lived for a time in Turkey was charged in two separate indictments for violating U.S. export laws, including several counts of conspiracy to export goods to Iran and to a Specially Designated National, the Department of Justice said in a June 4 press release. Peyman Amiri Larijani -- operations manager for Kral Havacilik IC VE DIS Ticaret Sirketi (Kral Aviation) -- was indicted on 34 counts of violating export laws in 2015 and four counts in 2016.
Panelists warned against increasingly strict export controls and criticized the Trump administration's handling of the Huawei blacklisting during a June 4 Senate Committee on Banking, Housing and Urban Affairs hearing on “Confronting Threats From China: Assessing Controls on Technology and Investment, and Measures to Combat Opioid Trafficking.” The U.S. is drawing dangerously close to shrinking markets for U.S. semiconductor exporters, the panelists said, a move that could prove devastating for the industry. They also suggested the Trump administration’s restrictions on Huawei are too broad and have hurt U.S. exporters as well as damaged trade talks between the two sides.
The United Kingdom’s Department for International Trade amended three general licenses related to “maritime anti-piracy,” military goods and Iraq, the department said in a June 4 press release. The first change amends Schedule 1 of the maritime and anti-piracy license “to reflect the change of control entry for non-military shotguns.” The second change amends the general export license for military goods “to allow goods to be moved directly from one exhibition to another” instead of requiring “goods to be returned directly to their origin after a single exhibition event.” The third change amends the general export license for Iraq “to correct a reference to the category of goods to which it applies.”
Thailand’s recently passed Weapons of Mass Destruction Related Items Act will take effect Jan. 1, 2020, according to a June 4 notice from Baker McKenzie, regulating all goods related to the spread of weapons of mass destruction. Products include “armaments,” dual-use items and “tangible and intangible items that could have commercial interest, technology or even software,” the notice said. The act would control exports, re-exports, transshipments, transits, brokering and other actions related to the weapons.
The Bureau of Industry and Security is amending the Export Administration Regulations to impose tougher restrictions on non-commercial aircraft and passenger vessels authorized to fly or sail to Cuba on temporary sojourn. The final rule amends license exception Aircraft, Vessels and Spacecraft to remove the eligibility for exports to Cuba of such aircraft and vessels. It also sets a general policy of denial for such exports except for in cases of a foreign policy or national security interest. “Consequently, private and corporate aircraft, cruise ships, sailboats, fishing boats, and other similar aircraft and vessels generally will be prohibited from going to Cuba,” BIS said. License exception AVS will still be available for commercial aircraft and cargo vessels exported to Cuba on temporary sojourn. The final rule takes effect June 5.
Export Compliance Daily is providing readers with some of the top stories for May 28-31 in case they were missed.
The Commerce Department plans to issue an advance notice of proposed rulemaking for export controls of foundational technologies in the coming weeks, Commerce officials said. The notice will be published “quite soon” and in “weeks, not months,” said Rich Ashooh, Commerce's assistant secretary for export administration, speaking at a June 4 Bureau of Industry and Security Regulations and Procedures Technical Advisory Committee meeting. Hillary Hess, director of Commerce’s regulatory policy division, was more reserved in her prediction, saying she is unsure exactly when the notice will be released but assuring the committee it is the next export-related notice that BIS plans to publish. “It is in the process now,” Hess said at the meeting. “We’re trying to prepare it.”